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Apple on Corrective Wave 4, Key Support At $130-$136 $AAPL

NASDAQ:AAPL   Apple Inc
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Apple ($AAPL) Weekly: Apple had a nice run for a couple of years after correcting down to $55 in Mid- 2013. It then had a year long wedge corrective move after hitting highs near $135 and after breaking out in July 2016, it’s pushed up higher to $156, and now seems to be correcting a bit here at the moment. If you look at the current Elliot Wave pattern that it’s on, and i will be the first to admit that this isn’t as standard of a wave as i’d like to see, where fib levels and corrective moves are measured to standard EW as i’d like to have confidence in, but we can see that we’re on the 4th corrective wave – and we can expect this to go down to the .618 fib level (which is standard corrective move) which happens to be the former high set back in 2015. It should find support around here, $130-$136 (if i had to pick a number it would be $136) and move higher to finish the last wave 5 to around $170.

it’s good to recognize the similarities in the patterns that we’re now on, compared to that back in 2013-2015. Note the similarities in RSI and MACD, and we can see that we’ve moved out of the overbought levels and downward, and MACD is beginning to roll over. Nothing is guaranteed – Elliot Waves can break apart due to existential events and sudden market downturns, so a strong break below the $130-136 support would negate this move, at least temporarily; so that support level and how technicals act around it is something to keep an eye on for $AAPL near term.

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